Superannuation is an area in which clients often seek advice. Since the advent of the Superannuation Guarantee (Administration) Act in 1992 most people are now members of a superannuation fund, whether it be an industry fund, an institution fund (such as AMP) or a private self managed fund. Superannuation provides a means of long term investment of superannuation contributions in a tax effective environment.
Self managed superannuation funds (limited to funds having 4 or less members) are common place in family businesses. Each of the members of the fund most also be trustees, or directors of a trustee company. In view of the tax effectiveness of superannuation it is an area in which advice is increasingly sought. As in most commercial and small business areas we like to involve your accountant especially when advising on the setting up of a self managed superannuation fund.
Superannuation is a key factor not only in terms of its place in most business and family arrangements, but also in succession and estate planning. Essentially, the death benefit of a member of a superannuation fund is not necessarily covered by that member's will.
We have solicitors at Peacockes who are able to provide competent advice on most superannuation issues, including the increasingly common practice of superannuation funds borrowing to purchase business assets.